If the Malabar Yacht Club expense includes a rent of $2,000 plus a charge of $40 per member and the club has 80 members,
A)ﬁxed costs amount to $2,000 and variable costs amount to $3,200.
B)ﬁxed costs amount to $3,200 and variable costs amount to $2,000.
C)all costs are ﬁxed.
D)all costs are variable.
E)cannot be determined.

Question

Quizplus · Accepted Answer

The fixed cost is the rent of $2,000, and the variable cost is $40 per member for 80 members, totaling $3,200.

If the Malabar Yacht Club Expense Includes a Rent of $2,000